Modified Production Functions in Modeling Economic Growth of Russia

DOI

10.2991/iscfec-18.2019.41How to use a DOI?

Keywords

modeling, production functions, parameters, technological progress, Russia

Abstract

The paper studies the features of Russia's economic growth in 1990-2014. Production functions (PF) are used as a tool for estimating the effectiveness of economic growth. Traditional PF owing to the constancy of the parameters do not allow studying the variable production efficiency. To overcome this problem, the author developed a method of transformation of PF with variable parameters into a modified production function with constant parameters and a variable effect on the economic growth of technological progress and others unaccounted factors. The modified PF describes more adequately real economic processes than traditional PF with constant parameters. It some cyclicity in the production efficiency of the Russian economy was revealed on the basis of the worked out toolkit. A sharp decline in the production efficiency of the Russian economy was observed at the beginning of the analyzed period in 1990-1994. The unstable growth of the Russian economy corresponds to the period 1995-1997. The decline in the production efficiency of the Russian economy in 1998-1999 was a result of a negative impact of consequences of the Asian financial crisis of 1997. The highest and most stable rates of economic growth due to the impact of intensive factors were observed for the Russian economy during 2000-2008. The decline in the production efficiency of the Russian economy in 2009-2010 was a result of the impact of the global financial and economic crisis of 2008. The growth in the production efficiency of the Russian economy was observed in 2011-2014.

Copyright

© 2019, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - De En MOON
PY  - 2019/01
DA  - 2019/01
TI  - Modified Production Functions in Modeling Economic Growth of Russia
BT  - Proceedings of the International Scientific Conference "Far East Con" (ISCFEC 2018)
PB  - Atlantis Press
SP  - 182
EP  - 185
SN  - 2352-5428
UR  - https://doi.org/10.2991/iscfec-18.2019.41
DO  - 10.2991/iscfec-18.2019.41
ID  - MOON2019/01
ER  -